LOCAL MANAGEMENT OF PAYMENT TRANSACTIONS

• US 20120173423A1
• Filed: 12/31/2010
• Published: 07/05/2012
• Est. Priority Date: 12/31/2010
• Status: Active Grant

• Current Assignee: Mastercard International Incorporated (MasterCard Incorporated)
• Original Assignee: Mastercard International Incorporated (MasterCard Incorporated)
• Inventors: Tanner, Colin, Burdett, Richard
• Granted Patent: US 10,692,081 B2
• Time in Patent Office: Days
• US Class Current: 705/44
• CPC Class Codes: G06Q 20/3223 Realising banking transactions through M-devices
• CPC Class Codes: G06Q 20/40 Authorisation, e.g. identification of payer or payee, verification of customer or shop credentials; Review and approval of payers, e.g. check credit lines or negative lists

Abstract

It is determined whether a payment device has come into association with a special spending environment. If so, an authorization and guarantee for a predetermined amount of funds to cover multiple transactions within the special spending environment is requested from an issuer of the payment device. If successful, a balance, based on the predetermined amount of funds, is established on a local authorization platform that is associated with the special spending environment and that is separate from the issuer of the payment device. A series of purchases with the payment device, within the special spending environment, is tracked. For each given purchase of the series of purchases, the balance is adjusted to reflect the value of the given purchase. At some point, it is determined that the series of purchases is ended. An additional step includes, subsequent to determining that the series of purchases is ended, communicating with the issuer to request payment as to only that portion of the predetermined amount of funds actually spent in the series of purchases. A further step includes facilitating an immediate release of the guarantee as to that portion of the predetermined amount of funds not actually spent in the series of purchases. The immediate release is subsequent to determining that the series of purchases is ended. A special callback command to summon back funds is also contemplated.

Claims

1. A method comprising:

determining whether a payment device has come into association with a special spending environment;

responsive to said determining step being affirmative, requesting, from an issuer of said payment device, an authorization and guarantee for a predetermined amount of funds to cover multiple transactions within said special spending environment;

responsive to success of said authorization and guarantee, establishing a balance, based on said predetermined amount of funds, on a local authorization platform that is associated with said special spending environment and that is separate from said issuer of said payment device;

tracking a series of purchases with said payment device, within said special spending environment;

for each given purchase of said series of purchases, adjusting said balance to reflect a value of said given purchase;

determining that said series of purchases is ended; and

subsequent to determining that said series of purchases is ended, communicating with said issuer to request payment as to only that portion of said predetermined amount of funds actually spent in said series of purchases; and

facilitating an immediate release of said guarantee as to that portion of said predetermined amount of funds not actually spent in said series of purchases, said immediate release being subsequent to said determining that said series of purchases is ended.

2. The method of claim 1, wherein said determining whether said payment device has come into association with said special spending environment comprises determining whether said payment device has been presented for a purchase within said special spending environment.

3. The method of claim 1, wherein said determining whether said payment device has come into association with said special spending environment comprises detecting use of said payment device to enter said special spending environment.

4. The method of claim 1, wherein said determining whether said payment device has come into association with said special spending environment comprises locally issuing said payment device for use within said special spending environment.

5. The method of claim 1, wherein said determining that said series of purchases is ended comprises determining that said payment device is no longer in association with said special spending environment.

6. The method of claim 1, wherein said determining that said series of purchases is ended comprises determining that said payment device has not been used for a predetermined period of time.

7. The method of claim 1, wherein said determining that said series of purchases is ended comprises detecting attempted use of said payment device outside said special spending environment.

8. The method of claim 1, wherein said determining that said series of purchases is ended comprises determining that said special spending environment has closed.

9. The method of claim 1, wherein said determining that said series of purchases is ended comprises receiving, from said issuer, a special callback command.

10. The method of claim 9, wherein said special callback command is received from said issuer in response to at least a portion of said balance established on said local authorization platform being needed elsewhere.

11. The method of claim 10, further comprising said issuer receiving an authorization request which cannot receive an affirmative response without said at least portion of said balance established on said local authorization platform.

12. The method of claim 9, wherein said special callback command is issued in response to a security issue.

13. The method of claim 1, wherein said special spending environment comprises at least one of a stadium, a festival, a bar, a night club, a theme park, a holiday park, a shopping center, and a shopping mall.

14. The method of claim 1, wherein said special spending environment comprises at least one of a transit system and a group of cooperating transit systems.

15. The method of claim 1, further comprising specifying said predetermined amount of funds based upon historical usage data.

16. The method of claim 1, further comprising, responsive to predetermined diminution of said balance, requesting, from said issuer of said payment device, a further authorization and guarantee for a further predetermined amount of funds to cover additional transactions within said special spending environment.

17. The method of claim 1, further comprising repeating all of said steps for an additional payment device.

18. The method of claim 1, further comprising:

maintaining a hot list of account numbers on said local authorization platform; and

allowing given ones of said series of purchases only upon a successful check against said hot list.

19. The method of claim 1, further comprising making a receipt for said series of purchases available to a holder of said payment device, said receipt having individual transaction level detail.

20. The method of claim 19, wherein said receipt is not available from a payment terminal within said special spending environment.

21. The method of claim 20, wherein said receipt is made available at least one of a kiosk, a special terminal, a customer service desk, and a web site.

22. The method of claim 1, further comprising buffering issuer scripting commands on said local authorization platform for delivery to said payment device upon presentation of said payment device in said special spending environment.

23. The method of claim 1, wherein said authorization and guarantee is requested from said issuer by sending a unique transaction code over a payment processing network.

24. The method of claim 1, further comprising said issuer placing a hold against said predetermined amount of funds in response to said request for said authorization and guarantee.

25. The method of claim 24, further comprising said issuer:

effectuating said payment as to only that portion of said predetermined amount of funds actually spent in said series of purchases; and

immediately releasing said hold as to that portion of said predetermined amount of funds not actually spent in said series of purchases.

26. The method of claim 1, wherein said immediate release of said guarantee is in response to an explicit communication.

27. The method of claim 1, wherein said immediate release of said guarantee is in response to said request for payment, based on a prior agreement.

28. The method of claim 1, further comprising requiring periodic entry of a personal identification number to permit said series of purchases to continue.

29. The method of claim 28, wherein said requiring comprises requesting entry at a location other than a payment terminal.

30. The method of claim 1, further comprising:

receiving an indication that said payment device has been at least one of lost and stolen; and

responsive to said indication, using said local authorization platform to carry out at least one of;

requiring entry of said personal identification number before further use of said payment device within said special spending environment; and

refusing further use of said payment device within said special spending environment.

31. The method of claim 1, further comprising determining, with said local authorization platform, that some putative purchases should not be included in said series of purchases for which said balance is adjusted, but should rather be subject to a conventional authorization process with said issuer.

32. A method comprising:

determining whether a payment device has come into association with a special spending environment;

responsive to said determining step being affirmative, requesting, from an issuer of said payment device, an authorization and guarantee for a predetermined amount of funds to cover multiple transactions within said special spending environment;

responsive to success of said authorization and guarantee, establishing a balance, equal to said predetermined amount of funds, on a local authorization platform that is associated with said special spending environment and that is separate from said issuer of said payment device;

tracking a series of purchases with said payment device, within said special spending environment;

for each given purchase of said series of purchases, adjusting said balance to reflect a value of said given purchase;

obtaining, from an issuer of said payment device, a special callback command; and

responsive to obtaining said callback command, performing a callback adjustment on said balance.

33. The method of claim 32, wherein said callback adjustment reflects all of that portion of said predetermined amount of funds not actually spent in said special spending environment, further comprising, responsive to obtaining said callback command, forbidding further spending with said payment device within said special spending environment.

34. A local authorization platform apparatus, associated with a special spending environment having at least one terminal, said local authorization platform apparatus comprising:

a memory; and

at least one processor, coupled to said memory, said at least one processor being operative to;

determine whether a payment device has come into association with the special spending environment;

request, from an issuer of the payment device, authorization and guarantee for a predetermined amount of funds, once determining that the electronic payment device has come into association with the special spending environment, wherein the predetermined amount of funds is selected to cover multiple transactions within the special spending environment;

receive a communication from the issuer authorizing or disapproving the requested authorization and guarantee for the predetermined amount of funds;

if authorized by the issuer, hold, in said memory, a balance equal to the requested predetermined amount of funds;

without contacting the issuer, authorize purchases made using the payment device at the at least one terminal within the special spending environment, if the balance is sufficient;

for each authorized purchase, adjust the balance to reflect the value of the purchase;

subsequent to determining that the purchases are ended, communicate with the issuer to request payment as to only that portion of said predetermined amount of funds actually spent in said purchases; and

facilitate an immediate release of said guarantee as to that portion of the predetermined amount of funds not actually spent in the purchases, said immediate release being subsequent to said determining that said series of purchases is ended.

35. A local authorization platform apparatus, associated with a special spending environment having at least one terminal, said local authorization platform apparatus comprising:

a memory; and

at least one processor, coupled to said memory, said at least one processor being operative to;

determine whether a payment device has come into association with the special spending environment;

request from an issuer of the payment device authorization and guarantee for a predetermined amount of funds, once determining that the electronic payment device has come into association with the special spending environment, wherein the predetermined amount of funds is selected to cover multiple transactions within the special spending environment;

receive a communication from the issuer authorizing or disapproving the requested authorization and guarantee for the predetermined amount of funds;

if authorized by the issuer, hold, in said memory, a balance equal to the requested predetermined amount of funds;

obtain, from an issuer of the payment device, a special callback command; and

responsive to obtaining the callback command, performing a callback adjustment on said balance.

36. A method comprising:

obtaining, by an issuer of a payment device which has come into association with a special spending environment, from a local authorization platform that is associated with said special spending environment and that is separate from said issuer of said payment device, a request for an authorization and guarantee for a predetermined amount of funds to cover multiple transactions within said special spending environment;

responsive to said request, providing an affirmative authorization response to said local authorization platform and reserving a sum correlated to said predetermined amount of funds;

obtaining, by said issuer of said payment device, from said local authorization platform, a message which requests payment as to only that portion of said predetermined amount of funds actually spent in a series of purchases;

initiating said payment; and

immediately releasing that portion of said sum not actually spent in said series of purchases.

37. A method comprising:

obtaining, by an issuer of a payment device which has come into association with a special spending environment, from a local authorization platform that is associated with said special spending environment and that is separate from said issuer of said payment device, a request for an authorization and guarantee for a predetermined amount of funds to cover multiple transactions within said special spending environment;

responsive to said request, providing an affirmative authorization response to said local authorization platform and reserving a sum correlated to said predetermined amount of funds;

determining that at least a portion of said sum is needed in connection with another matter;

responsive to said determining step, issuing a special callback command to said local authorization platform; and

releasing at least said portion of said sum for said another matter.